Tuesday, July 28, 2015
Search
  
Submit your own News for
inclusion in our Site.
Click here...
Breaking News
Hackers Could Break Into Your Android Smartphone With A Simple MMS
Google Relases New Consent Policy in European Union
Samsung To Showcase New Galaxy Phablet on August 13 Event
OnePlus 2 Smarphone Is An Affordable, High-End Flagship
Google Announces Changes To Google Plus
Sony HT-RT5 Sound Bar Offers Wireless Surround Sound, Easiness
Toshiba Expands Line-up of ARM Cortex -M-based Microcontrollers
Canon Cuts Outlook Following Weak Camera Sales
Active Discussions
How to back up a PS2 DL game
Copy a protected DVD?
roxio issues with xp pro
How to burn a backup copy of The Frozen Throne
Help make DVDInfoPro better with dvdinfomantis!!!
Copied dvd's say blank in computer only
menu making
Optiarc AD-7260S review
 Home > News > Optical Storage > Microso...
Last 7 Days News : SU MO TU WE TH FR SA All News

Saturday, March 10, 2001
Microsoft declines comment on Xbox profitability


Microsoft on Friday declined to address a recent report that it would take five years to reach profitability with its new Xbox video game console, saying the forecast by Merrill Lynch was based on assumptions that were the brokerage's own.



``That forecast was based on information and targets that have not been shared with the public,'' said John O'Rourke, director of games marketing. He declined to comment on Microsoft's projected profitability.

Earlier in the week Merrill Lynch analyst Henry Blodget predicted the Xbox console would lose $2 billion before breaking even in about five years. In a report the brokerage calculated the Xbox would cost Microsoft $380 each to make, and would sell for close to $299, the price of Sony's rival PlayStation 2 console. Accounting for the retail margin, Microsoft was projected to lose about $130 for each Xbox sold.

While analysts have noted that console developers generally lose money on the hardware and profit on software and peripheral sales and licensing fees, the forecast for losses did raise some eyebrows.

O'Rourke said the marketing costs for the launch of the new video game platform will total some $500 million, and that about 1,000 employees were working in the Xbox division.
The Xbox, scheduled for launch this fall, is aiming to attract the same core video game fan base of teenage boys that Sonytargeted with its PlayStation 2, launched in the United States last fall.

PlayStation 2 sold some 1 million units in the United States after its first three months, limited by a shortage of components.

The Xbox incorporates a Broadband high-speed Internet connection, but requires consumers to purchase a peripheral to play DVD movies. In contrast, the sequel to the popular PlayStation console has a DVD player in the console, but consumers must buy an attachment to access the Internet.


Previous
Next
Iomega to display Peerless drive        All News        Iomega to display Peerless drive
Iomega to display Peerless drive     Optical Storage News      Iomega to display Peerless drive

Source Link Get RSS feed Easy Print E-Mail this Message

Related News
China Is The New Battlefield For Game Consoles
Microsoft Posts FY15 Q4 Loss
Game Streaming Enabled For Xbox One Owners with a Windows 10 PC
Microsoft Universal Foldable Keyboard Released
Microsoft to Cut Thousands Of Jobs, Write Down Nokia Phone Business
More Job Cuts For Microsoft
AOL To take Over Microsoft's Display Ads
Nadella Announces Company Shakeup
Microsoft at E3 2015
Sony Says PS4 Is The Top Console In The U.S.
Surface Hub Available for Order in 24 markets
New Xbox One 1TB Console Unveiled

Most Popular News
 
Home | News | All News | Reviews | Articles | Guides | Download | Expert Area | Forum | Site Info
Site best viewed at 1024x768+ - CDRINFO.COM 1998-2015 - All rights reserved -
Privacy policy - Contact Us .